Goods and Service Tax (GST) is a destination based tax on consumption of goods and services. It is levied at all stages right from manufacture up to final consumption with credit of taxes paid at previous stages available as setoff. In a nutshell, only value addition will be taxed and burden of tax is to be borne by the final consumer.

GST registration not only helps you in getting your business recognized as a legal registrant but also opens a number of opportunities for your business. Benefits to GST registered business at glance are as follows: –

Become more competitive – You will be more competitive in comparison to your unregistered competitors since you will carry valid tax registration. Expand your business Online – You cannot sell products or services on e-commerce platform without GST registration.

If you’re planning to give a blow on e-commerce platform like Flipkart, Amazon, Paytm, Shopify or through your own website, you must need a GSTIN. Can take input tax credit – Only Registered GST holders can avail input of GST tax paid on their purchases and save the cost. Can sell all over India without any restrictions – Without having GSTIN you cannot trade inter-state.

This is possible only if you registered your business under GST. Apply Government Tenders – Various government tenders requires GSTIN to apply tender. If you don’t have you may miss the business opportunity. Open Current Bank Account – Especially, in case of sole proprietor business Banks & Financial Institution does not open a current bank account in the name of business trade name unless you carry any government proof in the name of your business. GST registration certificate can help you to open a current bank account. Dealing with MNCs – Generally, MNC’s does not comfortable to deal with small business entities until they carry valid tax registration proof.